Government incentive breakdown
The Tasmanian property market has never been more competitive, as first home buyers and builders struggle to break into the market amid soaring property prices and a lack of affordable housing.
For those looking to insert themselves into the market, capitalising on the various government incentives available could make or break your campaign to becoming a property owner. Here is a brief breakdown of the grants currently available for eligible first home buyers and builders:
First Home Owners Builder Grant
$30,000 grant: for transactions that commence between 1 April 2021 and 30 June 2022.
A new home is a home that has not previously been occupied or sold as a place of residence and includes kit homes.
First Home Owners Stamp Duty Concession (on existing dwellings)
The concession provides a 50 per cent discount on property transfer duty for first home buyers of established homes, which have a dutiable value of:
$400,000 or less for purchases of established homes that settle (i.e. transfers that complete) between 7 February 2018 and 15 March 2021 inclusive; or
$500,000 or less for purchases of established homes that settle (i.e. transfers that complete) between 16 March 2021 and 31 December 2021 inclusive; or
$600,000 or less for purchases of established homes that settle (i.e. transfers that complete) between 1 January 2022 and 30 June 2023.
First Home Loan Deposit Scheme
$10,000 First Home Loan Deposit Scheme places will be available to eligible first home buyers from 1 July 2021 to 30 June 2022.
Usually, first home buyers with less than a 20% deposit need to pay lenders mortgage insurance. Under this scheme, part of an eligible first home buyer’s home loan from a participating lender will be guaranteed by NHFIC. This is aimed at enabling you to purchase your first home sooner with as little as a 5% deposit.
Family Home Guarantee Scheme
The Family Home Guarantee aims to support eligible single parents with at least one dependent child in purchasing a family home, regardless of whether that single parent is a first home buyer or a previous home owner.
$10,000 Family Home Guarantees will be made available over four financial years from 1 July 2021 to 30 June 2025. Under this scheme, part of an eligible home buyer’s home loan from a participating lender will be guaranteed by NHFIC. This is aimed at enabling you to purchase your first home sooner with as little as a 2% deposit.
Liberty Advisers provide tailored solutions, understand your individual needs and take the complexity out of applying for a loan. For help understanding your eligibility and Tasmania’s specific application requirements, speak with a Liberty Financial Adviser.